Sherwin-Williams remains committed to continuous improvement throughout all of our businesess. Year after year, we challenge ourselves to implement processes that reduce power usage and optimize waste generation and disposal.
Scope 1 and 2 Emissions
Our climate strategy reflects a science-based approach influenced by global efforts to limit global warming to below 2 degrees Celsius above preindustrial temperatures. We have set a goal to reduce our absolute Scope 1 and 2 emissions by 30 percent, which we intend to reach by expanding our use of renewable energy, increasing energy efficiency and investing in innovation.
As we approach the halfway point between the baseline and goal years, we are making progress through concerted efforts across several areas under our operational control — including manufacturing and distribution facilities, transportation fleets, offices, labs and retail stores. We track and measure both Scope 1 and 2 absolute greenhouse gas (GHG) emissions, using the World Resources Institute (WRI) GHG Protocol Corporate Accounting and Reporting Standard as a way to improve efficiency as our business grows.
Investing in Renewable Energy
Our Scope 2 emissions are a function of the type of energy we purchase, and Sherwin-Williams continues to incorporate both on-site solar and procured renewable energy into our energy mix. Because new renewable energy projects can take several years to come online, we do not always see an immediate impact from these investments. In 2024, however, we began to see meaningful Scope 2 emissions reductions that are based on actions taken over the past several years.
For example, in 2023 we engaged in an agreement with power company ENGIE at the Century Oak wind power installation in Texas, which generated 285,700 MWh of renewable energy certificates in 2024. Since completing our first on-site solar energy installation in North America at our Orlando, Florida, manufacturing facility, we have executed contracts for additional on-site and power purchase agreement (PPA) solar energy installations worldwide. As of December 2024, we have one contract for on-site solar completed, and more than a dozen other projects in various stages of implementation. We expect these sites to commission in 2025 and 2026. A number of facilities also are procuring renewable energy from local grids. The solar installation at our Orlando facility was honored with a Department of Energy Better Plants, Better Project Award.
Focus on Our Fleet
Sherwin-Williams manages a large and complex fleet that includes:
- Tractor trailers that deliver product between manufacturing and distribution facilities and to customers and paint stores;
- Local delivery fleets that deliver smaller quantities of product to customer job sites; and
- A fleet of passenger and commercial vehicles that our sales representatives and managers use to travel within their field areas.
We are working to identify emissions-reducing practices for our large semi-trucks such as more fuel-efficient engines, improved idling technology, air flanges to reduce drag, and smart loading and routing solutions. As an example, process improvements contributed to a reduction in idle time for our fleet, increasing miles per gallon from 7.42 to 7.62 and saving approximately 500,000 gallons of fuel in 2024. Sherwin-Williams also participates in the U.S. Environmental Protection Agency’s SmartWay program, which helps shippers measure, benchmark and improve logistics operations. Within our passenger and small commercial fleet, we have started increasing the use of hybrid vehicles. We offer two hybrid options for passenger fleet drivers and will reevaluate our selection as more hybrid models become available. While we have conducted pilots of fully electric vehicles, we found that existing vehicle technology and infrastructure do not yet meet the demands of our business. We will continue to monitor and evaluate their use in the future.
Evaluating and Influencing Scope 3 Emissions
As with many other businesses, Scope 3 value chain emissions are larger than Scope 1 and 2 operational emissions at Sherwin-Williams. We continue to work on refining our approach and improving our inventory. Within Scope 3, most emissions come from Category 1: Total Purchased Goods and Services — comprised primarily of the raw materials we purchase and Category 10: Processing of Sold Products — from the energy used to apply certain categories of industrial coatings. Over the past two years, Sherwin-Williams has conducted an emissions inventory of more than 80 percent of our purchased raw materials. We also assessed the decarbonization commitments of our largest suppliers that represent approximately 70 percent of our raw material spend. Of these suppliers, more than 60 percent of our largest supplier group have made at least Scope 1 and 2 reduction commitments, and the majority have begun to make progress against those commitments. We will continue to engage with our suppliers on their decarbonization plans and seek to understand what impacts their actions may have on our Scope 3 emissions. And, through innovating more efficient curing technologies, we aim to reduce emissions generated by the processing of our products sold.